Download - Creating Great Local Product
Crea%ng a Great Skin Care Product in Indonesia Blending Global Best Prac%ce with Unique Local Wisdom
The Martha Tilaar Group Experience
Presented by
Samuel E. Pranata
Marke.ng Director, Martha Tilaar Group (MTG)
12th Asia Surfactants Personal & Home Care Markets
Hilton Shanghai, September 2012
The Martha Tilaar Group Experience
Indonesia: The Great Skin Care Market
Indonesia is an archipelago with 30.000 plant species and 300 ethnici5es, as well as has more
than 17.000 islands and about 400 volcanoes
There are a lot of mountain water springs, hot springs and mineral water springs
BIODIVERSITY & CULTURAL RICHNESS
86 87 88 89 90 91 92 93 94 95 96 97 98 99 '01 '02 '03 '04 '05 '06 '07 '08 '09 10 11 12 13 14
$1000
$2000
$3000
$4500
Economic Crisis
GDP percapita, 1986-‐2014
Same paXern Accelerated growth aYer reaching the $3000 per capita GDP level
Exci5ng Performance...
The 7th Biggest Economy in 2050...
#22
#7
Exci5ng Performance... Middle class has become majority popula5on with 131 million,
growing 7 million per annum
Source: Nielsen
25% 1999
56.5%
2010
Source: WorldBank, BPS
Jakarta: The city with 68 (+14) malls The biggest number in the world
As the economy and middle class are growing, looking good is also a trend
YTD Growth*
14% Higher than food
*Nielsen, 2011
Beauty & Personal Care Industry
Total market size U$ 3 billion
Predicted cosme%c product in 2012 will grow 16.9%. Average growth of cosme%c in Indonesia around 13-‐ 15% a year
Skin care category contributes 30% of the market
Back to nature concept drives the product with natural ingredients
The trend of metrosexuality starts to grow
Skin Care Market in Indonesia
Total Market Size U$ 950 million
Prominent skin care products are s%ll whitening and an% aging categories
Big players are Unilever, P&G, L'Oreal, and local company such as Martha Tilaar Group
The Martha Tilaar Group Experience
Martha Tilaar Group Unique Approach and Strategy
Martha Tilaar Group: At Glance
Established in 1970
The largest local beauty companies in Indonesia
Integrated opera%ons from: organic planta%on, manufacturing, distribu%on, retail shop, salon & spa chain and beauty school
Produce 10 brands consis%ng of skin care, color cosme%cs, hair care, body care and herbal products
1. Holis%c Eastern Beauty* 2. Sustainable Nature 3. Exo%c Innova%on 4. Women Inspira%on 5. Responsible Ci%zenship
Umbrella Brand Values
*Rupasampat wahyabiantara: inner & outer beauty
The concept of Rupasampat Wahyabiantara was
explored from the myths, ancient history, folklore and
understanding of the Wahyang philosophy.
Beauty is a reflec%on of the harmony of both inner and outer and also among mind,
body, and soul.
Palmyra Palm Flower
tasbih
lotus
zither
Rupasampat Wahyabiantara
The Total Beauty Concept
Product Development Principles
“Local Wisdom Go Global”
Natural Ingredients Indigenous Knowledge & Recipes Based on the Cycle of Life Holis5c (Inner & Outer) Approach for Op%mum Result
Scien5fic Approach & Technology Implementa%on
Efficacy Proven
Environmental Friendly
Owne
rship of Local Advan
tages
High
Low
Capability to Catch-‐up Global Fron5er
Low
Local Challenger Na5onal Champion
Die-‐Hard Flanker Global Chaser
High
Strive to achieve global best prac%ces
Flank and create their own pond
Selec%vely aiack the giant’s weaknesses
Beat the giant through local differen5a5on
Four generic Strategies to Beat the Giant
(Financial, Technology, Management, etc.)
The Martha Tilaar Group Experience
The Sariayu Pu.h Langsat Story Glocaliza.on MaTers
Sariayu Pu%h Langsat A Case Study
Indonesian Whitening ……………
Like Victoria ?
Like Jolie with Sexy Lips?
Flawless skin as Zi Yi?
Sariayu Pu%h Langsat Background
Skin of eastern people (incl. Indonesia) is different from western people
Need a whitening product that suitable for eastern people. Light and bright without changing skin character
Come into Pu%h Langsat Concept; Pu5h means white, Langsat is fruit as an iden%ty or character of Indonesian skin
Sariayu Pu%h Langsat Background
Pu%h langsat is the lightening concept that is developed met to Indonesian skin (eastern whitening concept)
Establish new whitening concept to differen%ate from the exis%ng one by using natural ingredient “Langsat” (Lansium domes.cum)
Using cultural approach that is approved by ethno pharmacology, in vitro and clinical study
Ethnicity of Dayak, in province of Kalimantan (South & Middle), culturally and historically used “Bedak Dingin” (cooling powder)
They used bedak dingin everyday to keep their skin health and beauty
Their skin looked light and bright that was different from other ethnici%es
Bedak dingin (cooling powder) contains Langsat fruit (Lansium domes.cum)
Etno pharmacology Study
Langsat (Lansium) can inhibit melanin synthesis
Langsat extract has an%oxidant ac%vity Combina%on of langsat (lansium) and phylantus has higher an%xodant ac%vity compared to a single plant
Sample Concentra5on (%)
DPPH Scavenging Ac5vity (%)
Inhibi5on Rate against Tyrosinase
ac5vity (%)
Lansium 2 33.9 30.4
Phylanthus 2 78.6 34.1
Lansium + Phylanthus
2 92.4 30.8
In Vitro Study
* = sta%s%cally significant at p < 0.05
Improvem
ent toward ba
se line
(unit)
*
*
*
Clinical Test Result:
-‐ 79% subjects showed improvement in skin moisturizing ater 2 hours -‐ 75% subjects showed improvement in skin lightening ater 2 weeks - 83% subjects showed improvement in skin lightening ater 4 weeks
Clinical Study Sariayu Pu5h Langsat Moisturizer Skin Moisturizer & Lightening Clinical Study
Sariayu Pu%h Langsat Moisturizer Skin Moisturizing & Lightening
Clinical Study Sariayu Pu5h Langsat Moisturizer Skin Moisturizer & Lightening
Patent Gain Patent of new efficacy of Indonesian plants
Clinical Study Sariayu Pu5h Langsat Moisturizer Skin Moisturizer & Lightening
Publica%ons/Seminars The research has been presented
in many scien%fic seminars and conferences
Clinical Study Sariayu Pu5h Langsat Moisturizer Skin Moisturizer & Lightening Sales Performance
Launched in 2007, Sariayu Pu%h Langsat has experienced a robust growth
Natural concept Develop products Technology